(Oslo, Norway, 8 May 2025) – Statkraft continued to deliver strong underlying results in the first quarter of 2025. Despite lower power prices, power generation was record-high. The start of construction on the new Svean hydropower plant marked the beginning of Statkraft’s development and upgrade programme in Norwegian hydro and wind power, followed by further investment decisions and licence applications.
- Power generation in the first quarter 2025 was record-high for a single quarter at 21.7 TWh, an increase of 12 per cent from 19.4 TWh in the same quarter 2024.
- Net operating revenues were NOK 15.8 billion in the first quarter 2025 compared to NOK 19.6 billion in the comparable quarter last year.
- Underlying EBITDA fell to NOK 10.9 billion (NOK 15.1 billion), while underlying EBIT decreased to NOK 9.0 billion (NOK 13.5 billion).
- Net profit was NOK 6.8 billion (NOK 6.8 billion).
- Power prices fell by 21 per cent in the Nordic region in the quarter and rose 67 percent in Germany compared to the same quarter last year.
- Baltic Cable AB and Equitix signed an agreement to acquire Greenlink Interconnector, with Statkraft’s minority interest estimated to be around NOK 2.2 billion.
- Statkraft signed two new long-term industry contracts with Alcoa Norway, with a total delivery of up to 1800 GWh.
In the first quarter of 2025, Statkraft commenced its investment programme in Norwegian wind and hydropower.
- Work officially started on the new Svean power plant redesign project with estimated investments of NOK 1.2 billion.
- Statkraft made the investment decision for the Blåsjø-Saurdal headrace tunnel construction, with estimated investments of NOK 900 million.
- Statkraft submitted a licence application for the Moifjellet wind power project with an expected investment of around NOK 4 billion.
- On 2 May, Statkraft announced a licence application for an upgrade of the Nore hydropower plant with an expected investment of around NOK 4 billion.
- Statkraft also made notable progress on many other Norwegian hydropower projects, including Alta, Aura, and Mår.
“In the beginning of 2025 construction works started on the new Svean hydropower project — marking the first step in delivering on our capacity upgrade and modernisation programme in Norway. We also decided to invest in the Blåsjø-Saurdal headrace tunnel, and submitted licence applications for the Moifjellet wind farm, as well as the upgrade of the Nore hydropower plants. Together, these plans can ensure that we can continue supplying the Norwegian industry and society with electricity for another hundred years,” says Statkraft President and CEO, Birgitte Ringstad Vartdal.
Prices, market development, and generation
The average system price in the Nordic region was 46.0 EUR/MWh in the first quarter 2025, down 12.3 EUR/MWh from the first quarter 2024 and up 14.9 EUR/MWh from the fourth quarter. The prices decreased mainly due to mild weather and inflow above normal levels. The price area differences increased both in Sweden and Norway, primarily due to differences in precipitation between northern and southern areas.
The average base price in the German market (EEX) was 112.5 EUR/MWh in the quarter, up 44.9 EUR/MWh from the same quarter last year, and up 9.7 EUR/MWh since the fourth quarter. The increase was mostly explained by significantly higher European gas prices, lower wind power generation in Germany and increased CO2 prices.
Statkraft’s generation was 21.7 TWh in the first quarter of 2025, 2.3 TWh higher than the first quarter last year and the highest ever recorded for a single quarter. The increase was mainly due to higher generation in high price areas in Norway and new wind farms coming in operation in Brazil and Spain. Higher spark spreads (margin between power and gas prices) and longer periods with positive spark spreads lead to increased generation from gas-fired power. Total wind power production was 2.3 TWh in the first quarter (1.7 TWh), while hydropower production was 18.2 TWh (17.2 TWh).
“Statkraft delivered another quarter with strong underlying results, despite lower prices. The power generation was 21.7 TWh in the quarter, the highest ever recorded in Statkraft’s history. Higher volumes demonstrate our strong operations and maintenance capabilities, the role of our flexible hydropower fleet, as well as new wind power investments in Spain and Brazil starting to pay off. The contribution from energy management continued to be record-high at the end of the quarter, with strong contribution from ancillary services that are needed when the energy system becomes more complex,” adds Vartdal.
Financial development
Underlying EBITDA was NOK 10.9 billion in the first quarter (NOK 15.1 billion), while underlying EBIT was NOK 9.0 billion compared to NOK 13.5 billion in the same quarter last year. The results from energy management and power generation were strong. The decrease was primarily due to significantly lower power prices, lower contribution from hedging of assets, as well as lower contribution from trading and origination.
Nordics was the main contributor to the results with an underlying EBITDA of NOK 9.1 billion (NOK 12.7 billion). Excluding a reversal of a provision resulting in a positive impact of NOK 2.6 billion in the first quarter last year, the underlying EBITDA decreased by NOK 1.1 billion.
Markets delivered an underlying EBITDA of NOK 0.2 billion in the quarter (NOK 1.4 billion), mainly as the contribution from Trading and Origination was lower than the very strong results in the first quarter 2024. Geopolitical uncertainty contributes to a more challenging market environment for both activities.
The contribution from Europe and International improved, mostly due to production capacity following newly acquired assets and constructed assets coming in operation.
Reported EBIT was NOK 6.8 billion in the quarter (NOK 15.5 billion), including NOK -2.0 billion in unrealised value changes from embedded EUR derivatives (compared to NOK 2.0 billion in positive effects in the same quarter last year).
Despite a significant drop in EBIT, the net profit of NOK 6.8 billion was unchanged from the same period last year. This stability was primarily due to positive currency effects of NOK 3.1 billion under financial items (NOK -2.7 billion). In addition, lower tax expense also contributed to maintaining the net profit.
Return on average capital employed (ROACE) for assets in operation in Nordics for the last twelve months, containing mostly old and depreciated hydropower plants at low book values, fell to 24.2 percent in the first quarter (37.1), primarily due to the significantly lower power prices. ROACE for assets in operation in Europe and International were 6.4 and 6.1 percent respectively. These numbers do not include items such as business development costs and assets under construction. ROACE for Europe and International are overall in line with expectations following many new built and acquired assets and higher book values.
Sharpening strategy and adapting to market changes
Last year, Statkraft decided to sharpen the strategy, focusing on fewer technologies and markets to build scale and strengthen competitiveness and value creation. This includes divesting the onshore wind, solar and battery business in the Netherlands and Croatia, and the hydropower and solar assets in India, as well as divesting the district heating business and finding new investors in the biofuels company Silva Green Fuel and the EV charging company Mer. Statkraft has already divested the Enerfin US portfolio following last year’s acquisition of Enerfin, and will divest Enerfin’s businesses in other non-core countries. These processes are ongoing.
Due to increased uncertainty in the market, Statkraft has decided to stop new development of green hydrogen projects.
While the underlying drivers remains strong and the energy transition continues, the state of the energy markets and geopolitical environment has become more volatile. Statkraft continues to adapt to these changes and is assessing strategic and operational adjustments in our ongoing annual strategic review due in June to ensure that the company creates the highest possible return for the owner over time in a sustainable manner.
“As we mark Statkraft’s 130th anniversary this year, we are keeping a long-term perspective while we manage through these turbulent and uncertain times. Although the ongoing geopolitical challenges might delay the energy transition, it will not stop it. The long-term drivers behind the transition are strong, but Statkraft will continue to adapt our activities in light of the uncertainty and the fact that we currently have more profitable renewables projects than we have funding for. Developing a flexible portfolio based on our competitive strengths and prioritising the best projects to invest in is thus a key priority,” says Birgitte Ringstad Vartdal.
For further information, please contact:
Debt Capital Markets:
Vice President Stephan Skaane, tel: +47 905 13 652, e-mail: [email protected]
Senior Financial Advisor Arild Ratikainen, tel: +47 971 74 132, e-mail: [email protected]
Media:
Corporate Media Relations Lead Lars Magnus Günther, tel: +47 912 41 636, e-mail: [email protected]
VP External Communications Torbjørn Steen, tel: +47 911 66 888, e-mail: [email protected]
or www.statkraft.com
This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.
About Statkraft
Statkraft is a leading company in hydropower internationally and Europe’s largest generator of renewable energy. The Group produces hydropower, wind power, solar power, gas-fired power and supplies district heating. Statkraft is a global company in energy market operations. Statkraft has around 7,000 employees in more than 20 countries.
This information is subject to the disclosure requirements pursuant to Section 5-12 the Norwegian Securities Trading Act
Attachments
- Statkraft AS – Interim Report Q1 2025
- Statkraft AS – Presentation Q1 2025
